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HomeMy WebLinkAboutMN-B&A-1996-01-24 BUDGET AND ADMINISTRATION COMMITTEE REGULAR MEETING 7:30 P.M. JANUARY 24, 1996 MINUTES Present: Committee Members: Shenk, Efroymson, Thorpe, Mackesey, Marcham Others Present: Mayor Cohen City Controller Cafferillo Deputy Controller Thayer Assistant City Attorney Kennedy City Chamberlain Parsons Fire Chief Wilbur Superintendent of Public Works Gray Members of the media ----------------------------------------------------------------- ----------------------------------------------------------------- 1. Opening Comments: Chairperson Shenk stated that the following changes were made to the agenda: 1. Deletion of the Planning item dealing with Southwest Park surveys. ' 2 . Additional Drug Task Force Street Lighting item. 3. Additional Postering in the City item. Members of the Public were asked to speak; no members spoke. 2 . Finance/Controller - Approval of 1994 Single Audit Report Jack Little and Dennis Jones, both partners from the CPA firm of Ciaschi, Dietershagen, Little and Mickelson, discussed the City' s 1994 external single audit report with the Committee. Mr. Little discussed various aspects of the single audit report, including what a single audit is and what items are included in the audit. Mr. Jones discussed the financial and compliance requirement detail of the report. Both Mr. Little and Mr. Jones reported that the 1994 audit report was clean and free from exceptions . They reported that the 1994 audit was as good as it gets and very few municipalities in the state receive such a good report. 1 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 The Committee discussed the timing of the audit. Deputy Controller Thayer stated that the information is a year old due to timing and scheduling between the audit firm and the City. Thayer explained that the 1995 audit should be completed by August, 1996 . After a brief discussion regarding the audit, the following motion was made: RESOLVED, That the Single Audit Report for the period of January 1, 1994 through December 31, 1994, prepared by the accounting firm of Ciaschi, Dietershagen, Little and Mickelson, C.P.A. I s, be accepted to comply with all the City' s applicable Federal Single Audit and related Audit Requirements. 3 . Common Council - Request to Release Funds for IPAC Funding James Salk and Chris Tate from IPAC presented a proposal to the Committee that would release the agency' s $12,000 in funding from the Restricted Contingency Account. Chairperson Shenk stated that City staff, some members of B&A, and IPAC met to discuss possible payment options from IPAC to the City for outstanding tax and water/sewer balances due. Salk explained to the Committee-that IPAC has made the following repayment proposal to the City: A. The back water/sewer and fire bills, total amount $3,016.96, will be deductdd from the $12,000 1996 funding and paid to the City; B. The City will deduct $1,000 from the $12,000 funding and establish a tax escrow account to repay outstanding taxes; C. The City will release the balance of $12, 000 or $7,983 . 04 to IPAC as part of the 1996 funding. D. IPAC will deposit $650 to the City escrow account monthly beginning March 15, 1996 . E. The $650 monthly payment will be annually renegotiated in November to hopefully increase the payment by IPAC. F. Quarterly reports will be made to Council on the IPAC repayment status . G. Current and future water/sewer, fire bills will be paid on a timely basis. 2 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 Salk explained that IPAC wants to work with the City to repay all the outstanding balances as soon as is practical. He stated that IPAC will apply for a partial tax-exempt status in early 1996 . He stated that if this status is achieved, then the payment arrangement presented tonight will be appropriate. If the tax-exempt status is not achieved, then the repayment agreement will be renegotiated. Alderperson Mackesey stated that she is worried over payment of current and future water, sewer and tax bills. Salk stated that IPAC is currently breaking even financially and IPAC expects to improve upon that. After a discussion regarding , the agreement, the following motion was made: WHEREAS, the 1996 City of Ithaca Budget included $12, 000 for Ithaca Performing Arts Center (IPAC) , and WHEREAS, at their regular Council meeting of January 3, 1996, Council transferred the IPAC funding into the Restricted Contingency account to be released when IPAC submitted an acceptable plan of repayment to the City of Ithaca for all debts outstanding, and WHEREAS, IPAC has met with the Budget and Administration Committee and City staff and has submitted an acceptable repayment plan for the repayment of the outstanding debt; now, therefore, be it ' RESOLVED, That the Common Council approves the following repayment plan from IPAC for the outstanding real estate taxes, outstanding water bills and outstanding fees to the Ithaca Fire Department: 1 . The City will deduct $3,016 .96 from the $12, 000 in Restricted Contingency funding which represents the payments for the Fire Department bill of $1,287 .00 and the water bill from 6/1/95-12/1/95 of $1,729 .96. These funds will be transferred from the Restricted Contingency account to the appropriate accounts for repayment of said bills . 2 . The City will deduct $1,000 from the $12,000 funding and establish a tax escrow account to repay the outstanding City/School taxes, penalties and interest. 3 . The City will release $7,983 .04 from the Restricted Contingency Account A1990 which represent the balance of funding to IPAC for 1996 . 3 C BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 4. Beginning with March 15, 1996, and on or before the 15th day of each month thereafter, IPAC will deposit $650 .00 into the City of Ithaca' s established tax escrow account. The funds will be accumulated in the escrow account to repay outstanding tax bills, and related interest and penalties . 5 . If IPAC has additional funds available, beyond the $650 .00 per month, the funds will also be deposited to the established escrow account for repayment of outstanding taxes and related interest and penalties . 6. The $650 . 00 monthly escrow payment will be renegotiated before the end of 1996, and annually thereafter, to establish 1997 monthly pdyments to the escrow account. Increasing monthly tax escrow payments made by IPAC to the City will be anticipated. 7 . Quarterly reports or as needed, made by the Controllers Office, will be made to Council on the status of the IPAC repayment plan. 8 . Current and future water, sewer, fire and tax bills will be paid on a timely basis by IPAC, and be it further RESOLVED, That the IPAC repayment plan will be reviewed and renegotiated, if necessary, based do the determination of IPAC' s tax exempt status by May 1996 . The motion passed 4-0-1. Alderperson Efroymson abstained from _ voting due to a conflict of interest. It was noted that when the City receives future Community Services Funding requests, a. list of the agencies will be forwarded to the Chamberlain to determine if any outstanding balances exist with the requesting agencies. 4 . DPW A. Request to Establish Capital Project for Flashing Yellow Lights on West Court Street Superintendent of Public Works Gray presented a request to establish a capital project in the amount of $9,000 to fund a flashing yellow light on West Court Street between North Plain and North Albany Streets . Gray explained that both the BPW and Traffic Systems Engineer have received the request and recommend the placement of a 4 a BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 flashing yellow light on this block. Gray stated that the light is needed due to the large number of child pedestrian traffic from the Immaculate Conception School, BJM Elementary School, GIAC and the Alex Haley Pool. He explained that the DPW Budget can not take on this additional work. City Controller Cafferillo stated that Consolidated Highway Improvement Program (CHIPS) funds could be used for this project. He stated that this type of construction qualifies for CHIPS funds . Alderperson Mackesey stated that she was slightly 3 uncomfortable with placing a yellow flashing light at this site without more information on the effectiveness of such devices and would rather see the police enforce speed requirements here to keep motorists within the speed limit. She stated she would vote for this project, but would like to examine the issue of enforcement in the city. Mackesey also felt that the DPW should look at all of the school zones and develop a priority list. Alderperson Efroymson stated that this project should not be put on hold because of the large volume of children concentrated in this area. After a discussion regarding speed limit enforcement, the following motion was made: WHEREAS, the 300 block of West Court Street is adjacent to Immaculate Conception School, BJM Elementary School, the GIAC, and many other recreation facilities, including the Haley Pool, basketball courts and playgrounds, and WHEREAS, the installation of flashing yellow lights on this block has been requested to slow traffic and reduce hazards to the unusually large number of child pedestrians, and WHEREAS, the Traffic Systems Engineer, Board of Public Works, and the Budget and Administration Committee have reviewed the request, and WHEREAS, the estimated cost for said traffic control device is $9, 000; now, therefore, be it RESOLVED, That Capital Project #330 be established in an amount not to exceed $9,000 for purchase and installation of yellow flashing lights on West Court Street between North Plain and North Albany Streets, and be it further 5 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 RESOLVED, That said funds will be derived and transferred to the Capital Fund from the Consolidated and Local Street and Highway Improvement Program account. The motion passed 5-0 . B. Recycling Contract City Controller Cafferillo reported that the City is currently operating a recycling program within the city by contract with Tompkins County. Cafferillo reported that the County wants to end the contract with the City in June of this year. He stated that the City has been providing the recycling program within the city for about seven years, but the costs continue to climb and the County feels they can get a private hauler to provide the city' s service at a lower rate than what the County is currently paying the City. A discussion regarding the program followed. Cafferillo stated that the County has been bidding the recycling program out, and now is asking the City to bring our recycling program price more in line with the outside private hauler, who has won the bid. He stated that we are now working with Public Works to determine if _t the City can bring the recycling program costs down, and if so, how much. He stated that he just wanted to bring this item to the Committee' s attention, and he will report back next month. No action was taken. 5 . Fire Department - Request to Temporarily Amend Personnel _ Roster Fire Chief Wilbur presented a request to temporarily amend the Fire Department' s personnel roster by adding two fire fighter positions to replace two retiring fire fighters . Wilbur stated that the department needs to put these two new fire fighters on board prior to the fire fighters ' retirement date to allow them to begin the training process which should alleviate spring and summer staffing problems in the Fire Department. Wilbur stated that the positions would be added to the Fire Department roster temporarily until the two fire fighters retire. He stated that this request was approved by the Vacancy Review Committee. Wilbur stated that he has the additional two weeks of funds needed within his 1996 Budget. After a discussion regarding the request, the following motion was made: 6 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 WHEREAS, the Ithaca Fire Department has requested, and been approved by the Vacancy Review Committee, to hire two firefighters to replace two retiring firefighters, and WHEREAS, the Fire Department is requesting that the two additional firefighters be hired two weeks prior to the retirements to begin the lengthy training process early to alleviate spring and summer staffing shortages, and WHEREAS, the Fire Department will have funds within their 1996 budget to accomplish said early hiring due to an open roster position; now, therefore, be it RESOLVED, That the 1996 Authorized Fire Department Personnel Roster be temporarily amended 'as follows : Add: Two (2) full time firefighter positions and be it further RESOLVED, That said temporary firefighter positions will be deleted from the Authorized Personnel Roster upon the retirement of the two existing firefighters on February 28, 1996 . The motion passed 5-0. 6. Finance/Controller - Request Delegation of Authority on Bond Issuance I City Controller Cafferillo and Deputy Controller Thayer presented a request to the Committee delegating power and authority to the City Controller to determine whether bonds of the City shall be payable in a substantially level or declining annual debt service manner. Cafferillo stated that state law, approved on June 20, 1994, allows Common Council to authorize the City Controller to provide for level debt on bonds and BANS issued by the City. Cafferillo also stated that the resolution will address previously issued bonds and BANS issued in 1991, 1992, and 1994 . He explained that we are required by state law to provide for the option of level debt on our bond and BAN issues. After a brief discussion regarding the delegation of authority, the following motion was made: 7 lml BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 A RESOLUTION DELEGATING TO THE CITY CONTROLLER OF THE CITY OF ITHACA, TOMPKINS COUNTY, NEW YORK, POWER AND AUTHORITY TO DETERMINE WHETHER BONDS OF SAID CITY SHALL BE PAYABLE IN A SUBSTANTIALLY LEVEL OR DECLINING ANNUAL DEBT SERVICE MANNER AND OTHER MATTERS RELATING THERETO. WHEREAS, the Local Finance Law of the State of New York provides that a legislative body of the City may delegate to the chief fiscal officer of said City, certain powers of said legislative body with respect to the issuance of obligations of said City, and WHEREAS, the Common council of the City of Ithaca, Tompkins County, New York (the "City" ) has previously delegated to the City Controller of said City 'as the chief fiscal officer on January 2, 1991, February 6, 1991, March 6, 1991, June 5, 1991, February 5, 1992, April 1, 1992, July 1, 1992, January 5, 1994 and June 1, 1994 certain powers with respect to the issuance of obligations authorized on said dates which could be so delegated pursuant to the provisions of the Local Finance Law, and WHEREAS, on June 20, 1994, the Governor of the State signed into law Chapter 201 of the Laws of 1994 which, among other things, authorizes a legislative body to determine to provide for substantially level or declining annual debt service on _ bonds and bond anticipation notes of a city as an alternative to providing that such bonds and bond anticipation notes be amortized in accordance with the so' -called fifty per cent rule, and WHEREAS, said Chapter authorizes the finance board of a city, _ being the Common Council of this City, to delegate such determination, together with certain other determinations therein provided, to the .chief fiscal officer, and WHEREAS, it is now desired to delegate to the City Controller of the City of Ithaca, as chief fiscal officer of. the City, power to make all such determinations; now, therefore, be it RESOLVED, by the Common Council of the City of Ithaca, Tompkins County, New York, as follows: Section 1. Pursuant to the provisions of paragraph a of Section 56 .00 of the Local Finance Law, the power to determine whether to issue bonds and bond anticipation notes having substantially level or declining' annual debt service, as 8 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 provided in paragraph d of Section 21.00 of the Local Finance Law, is hereby delegated to the City Controller of the City of Ithaca, Tompkins County, New York, the chief fiscal officer of said City, for the following authorizations : Authorization Project Description Serial Bond Date Authorization Amount 1/2/91 Acquisition of a Building $ 237,500 and the Site thereof and the Reconstruction of said building for the provision of Day Care Services 2/6/91 Various Capital Projects and $2, 847,720 Improvements 3/6/91 Additional Costs of Various $ 233, 155 Capital Improvements 6/5/91 Additional costs of the $ 570, 000 Construction of a new Court Facility/Reconstruction of Existing Facility 2/5/92 Various Capital projects and $3,500,000 Improvements 4/1/92 Various Capital Projects and $ 196,000 _ Improvements 4/1/92 Reconstruction of the North $ 50, 000 Cayuga Street Bridge over Cascadilla Creek 4/1/92 Additional Costs of $ 100, 000 Construction of GIAC Pool 7/1/92 Additional Costs of Various $ 601,577 Capital Improvements 1/5/94 Various Objects or Purposes $1,713, 125 6/1/94 Certain Objects or Purposes $ 202, 000 (Day Care Facility and Fiber Optic Line) 9 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 All other matters relating to such bonds and bond anticipation notes to be issued by said City and having substantially level or declining annual debt service, including, but not limited to, the power to determine the weighted average period of probable usefulness of the objects or purposes to be included in such bonds or bond anticipation notes, the maximum authorized period or maturity of indebtedness of such objects or purposes to be actually sold, the estimated average rate of interest at which fixed interest rate bonds of the same maturities would be sold if such bonds were to be issued with a variable rate of interest, pursuant to Section 54.90 of the Local Finance Law, whether interest on such bonds shall be compounded and payable at maturity or prior redemption, whether such bonds shall be issued as serial bonds, as sinking fund bonds, as term bonds, or any combination thereof, and all other matters which may be delegated pursuant to such Section, is hereby delegated to the City Controller of the City of Ithaca, Tompkins County, New York, the chief fiscal officer. Section 2. This resolution shall take effect immediately. The motion passed 5-0. 7 . Common Council A. Drug Task Force Discussion Alderperson Efroymson discussgd the possibility of a contract with NYSEG providing six movable or fixed street lights to place in front of known drug houses in the city. Efroymson stated that at next month' s B&A meeting he will request funds to contract with NYSEG to provide - this street light service. He explained that it would cost $150 - $400 per light to do this, depending on what option the City selects. The Drug Task Force felt that such an expenditure would assist in the fight against drugs in the city. Alderperson Mackesey stated that she likes the idea, but this proposal may become too expensive and add too much light to the city streets . Mayor Cohen stated that the costs would only relate to the annual utility cost of each street light because NYSEG will pick up the cost of installation of permanent street lights . A discussion regarding street lights in the city followed. Alderperson Efroymson stated that there are not enough lights on the city' s drug houses, and these drug houses do not move around as much as people think. The 10 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 Committee agreed that this proposal is worth looking over. Alderperson Efroymson stated that more details will be presented at next month' s B&A meeting. No action was taken. B. Postering in the City Alderperson Mackesey stated that the issue of postering in the city has been around for a long period of time. She stated that the Planning Board is now discussing possible alternatives to postering and some of these ideas require funding. Mayor Cohen stated that he had information on this issue and will bring it to next month' s B&A meeting. The Committee also stated that it would be helpful to invite the local night club owners to next month' s B&A meeting to discuss this issue. No action was taken. The item will be discussed again next month. 8 . Finance/Controller City Controller Cafferillo briefly reported to the Committee that the City recently opened 13 bids on the City' s $10,849,000 one-year Bond Anticipation Note. Cafferillo explained that the State' s average rate for Aa rated bonds was 3 . 60%, and the City' s winning bid came in at 3.37%, or a $27,500 savings on the issue. He stated that the City is well respected in the bond market as evidence of our rates. No action was taken. 9 . Committee to Proceed into Executive Session The Committee voted, 5-0, to move into executive session to discuss various personnel issues. 10 . Report from Executive Session After the Committee voted, 5-0, to move back into regular session, Chairperson Shenk reported that the Committee took the following action during the executive session: A. Finance/Controller - Personnel Discussion Chairperson Shenk reported that the City Controller discussed pay period adjustments with the Committee. The Committee gave directions to the City Controller. No formal action was taken. 11 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 B. DPW - Personnel Item Discussion Chairperson Shenk reported that the Committee discussed a personnel issue with the Superintendent regarding City bus drivers, and the Committee gave directions to the Superintendent. No formal action was taken. C. Finance/Personnel - Personnel Item Chairperson Shenk reported that the Committee discussed a personnel item with the Assistant City Attorney related to the Personnel Department. The Committee gave directions to the Assistant City Attorney. No formal action was taken. D. Contract Negotiation Status Update Chairperson Shenk reported that the City Attorney gave the Committee an update on the current CSEA negotiations. No action was taken. E. Mayor/Personnel - Request Payment of Daycare Expenses Chairperson Shenk reported that the Committee discussed a personnel item relating to the Mayor' s office, and the Committee took the following action: WHEREAS, it has been and is the policy of the City of Ithaca not to permit temporary employees t9 participate in the City benefit programs, including Day Care Assistance Program, and WHEREAS, at the City' s request, on July 12, 1995, Lisa Boyd . - began working for the City of Ithaca as temporary Administrative Assistant in the Mayor' s Office while Theresa Alt maintained the permanent rostered position of Administrative Assistant until July 21, 1995, and WHEREAS, Lisa Boyd was not authorized by Council as a permanent employee until July 21, 1995, and WHEREAS, she incurred two weeks of daycare costs, for the period July 12, 1995 to July 21, 1995, which under the City Daycare Program would equate to $120 . , and WHEREAS, she requested the reimbursement for daycare through the City Daycare Program and was told that because of her temporary roster status for that period she would be denied, and 12 BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 24, 1996 WHEREAS, this Common Council determines that due to the unique specific facts of this situation, it would be fair and equitable to make an exception to the aforesaid City policy and to allow Mrs. Boyd to submit and receive the daycare reimbursement of $120 . ; now, therefore, be it RESOLVED, That this Council reaffirms the aforesaid City policy, makes an exception to that policy in the particular case involving Mrs. Boyd, which exception shall not establish a precedent respecting future implementation of such policy and authorizes the payment of $120. in daycare costs for the period of July 12, 1995 to July 21, 1995 to Mrs . Boyd and further directs appropriate City personnel to take all necessary actions to effectuate the payment of daycare costs. The motion passed 5-0. The meeting adjourned at 11:25 P.M. NOTE: In many cases the actual texts of the resolutions presented in these minutes were prepared following the Committee' s deliberations and decisions on the matters involved. The resolutions presented here are in complete accord with decisions made by tie Committee. 13